Ghandhara Tyre and Rubber Co (KAR:GTYR) Interest Coverage: 0.18 (As of Mar. 2026) — 90% Below Median


KAR:GTYR Ghandhara Tyre and Rubber Co Ltd KAR:GTYR
61 GF Score
Price ₨31.49
GF Value ₨33.27
Valuation Fairly Valued
! 7 Warning Signs
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What is Ghandhara Tyre and Rubber Co Interest Coverage?

Ghandhara Tyre and Rubber Co KAR:GTYR 61 Interest Coverage is 0.18 as of Mar. 2026, which is 90% below its 10-year median of 1.83. GuruFocus rates KAR:GTYR with a GF Score™ of 61/100 and a GF Value™ of ₨33.27 (Fairly Valued). The stock has 7 warning signs investors should review. Among 1,066 Vehicles & Parts companies, Ghandhara Tyre and Rubber Co ranks worse than 96.15% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Ghandhara Tyre and Rubber Co's Operating Income for the three months ended in Mar. 2026 was ₨52 Mil. Ghandhara Tyre and Rubber Co's Interest Expense for the three months ended in Mar. 2026 was ₨-284 Mil. Ghandhara Tyre and Rubber Co's interest coverage for the quarter that ended in Mar. 2026 was 0.18. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Ghandhara Tyre and Rubber Co Ltds earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.

The historical rank and industry rank for Ghandhara Tyre and Rubber Co's Interest Coverage or its related term are showing as below:

KAR:GTYR' s Interest Coverage Range Over the Past 10 Years
Min: 0.49   Med: 1.83   Max: 12.48
Current: 0.6


KAR:GTYR's Interest Coverage is ranked worse than
96.15% of 1066 companies
in the Vehicles & Parts industry
Industry Median: 8.295 vs KAR:GTYR: 0.60

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


Ghandhara Tyre and Rubber Co  (KAR:GTYR) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


Ghandhara Tyre and Rubber Co Interest Coverage Related Terms


Ghandhara Tyre and Rubber Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Ghandhara Tyre and Rubber Co's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Ghandhara Tyre and Rubber Co Interest Coverage Chart

Ghandhara Tyre and Rubber Co Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.43 2.02 1.14 1.29 0.89

Ghandhara Tyre and Rubber Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.13 0.53 1.04 0.61 0.18

KAR:GTYR vs ORLY, AZO, BWA: Interest Coverage Comparison

For the Auto Parts subindustry, Ghandhara Tyre and Rubber Co's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ghandhara Tyre and Rubber Co Interest Coverage vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Ghandhara Tyre and Rubber Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Ghandhara Tyre and Rubber Co's Interest Coverage falls into.


KAR:GTYR
61GF Score
Ghandhara Tyre and Rubber Co Ltd KAR:GTYR
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Ghandhara Tyre and Rubber Co Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Ghandhara Tyre and Rubber Co's Interest Coverage for the fiscal year that ended in Jun. 2025 is calculated as

Here, for the fiscal year that ended in Jun. 2025, Ghandhara Tyre and Rubber Co's Interest Expense was ₨-1,320 Mil. Its Operating Income was ₨1,181 Mil. And its Long-Term Debt & Capital Lease Obligation was ₨414 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*1180.507/-1319.76
=0.89

Ghandhara Tyre and Rubber Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Ghandhara Tyre and Rubber Co's Interest Expense was ₨-284 Mil. Its Operating Income was ₨52 Mil. And its Long-Term Debt & Capital Lease Obligation was ₨358 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*52.239/-284.059
=0.18

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 0.18 mean?
Ghandhara Tyre and Rubber Co (KAR:GTYR) has a Interest Coverage of 0.18 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ghandhara Tyre and Rubber Co and its competitors. This is 90% below median its historical median of 1.83. Over the past decade, Ghandhara Tyre and Rubber Co's Interest Coverage has ranged from 0.49 to 12.48. According to the industry distribution chart, Ghandhara Tyre and Rubber Co ranks #1025 out of 1066 companies in the Vehicles & Parts industry, placing it in the top 96.2%.
Is Ghandhara Tyre and Rubber Co's Interest Coverage too high?
Ghandhara Tyre and Rubber Co's current Interest Coverage of 0.18 is 90% below median its 10-year median of 1.83. Over the past 10 years, this metric has ranged from a low of 0.49 to a high of 12.48. The Vehicles & Parts industry median Interest Coverage is 8.30. Ghandhara Tyre and Rubber Co's value of 0.18 is 97.8% below this industry median. Based on the distribution chart, Ghandhara Tyre and Rubber Co ranks #1025 out of 1066 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Ghandhara Tyre and Rubber Co has a GF Score™ of 61/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ghandhara Tyre and Rubber Co's Interest Coverage compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Ghandhara Tyre and Rubber Co ranks #1025 out of 1066 companies for Interest Coverage. This places Ghandhara Tyre and Rubber Co in the lower half of its industry. The industry median Interest Coverage is 8.30. Ghandhara Tyre and Rubber Co's value of 0.18 is 97.8% below this benchmark. Historically, Ghandhara Tyre and Rubber Co's own Interest Coverage has ranged from 0.49 to 12.48 over the past decade. While the company's 10-year median is 1.83 vs. the industry median of 8.30, Ghandhara Tyre and Rubber Co has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Vehicles & Parts company?
The median Interest Coverage among Vehicles & Parts companies is 8.30, based on 1,066 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ghandhara Tyre and Rubber Co's current Interest Coverage of 0.18 is 97.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ghandhara Tyre and Rubber Co and its competitors. For the Vehicles & Parts industry, the median Interest Coverage is 8.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ghandhara Tyre and Rubber Co's current Interest Coverage is 0.18, which is 90% below median its own 10-year median of 1.83. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ghandhara Tyre and Rubber Co stock overvalued right now?
Based on GuruFocus' analysis, Ghandhara Tyre and Rubber Co (KAR:GTYR) is currently considered Fairly Valued. The stock's GF Value™ is ₨33.27, compared to a current price of ₨31.49 — trading 5.4% below its estimated fair value. The current Interest Coverage is 0.18, which is 90% below median its 10-year median of 1.83 and 97.8% below the Vehicles & Parts industry median of 8.30. Ghandhara Tyre and Rubber Co's overall GF Score™ is 61/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Ghandhara Tyre and Rubber Co (KAR:GTYR), the current Interest Coverage is 0.18 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Ghandhara Tyre and Rubber Co (KAR:GTYR) Overvalued in 2026?

Based on GuruFocus' analysis, Ghandhara Tyre and Rubber Co stock appears to be undervalued. The current stock price of ₨31.49 is trading 5.4% below its estimated GF Value™ of ₨33.27. GuruFocus considers Ghandhara Tyre and Rubber Co to be Fairly Valued.

Key valuation signals for KAR:GTYR:

  • Interest Coverage: 0.18 (90% below median its 10-year median of 1.83)
  • GF Value™: ₨33.27 vs. price of ₨31.49 (5.4% below fair value)
  • GF Score™: 61/100 with 7 warning signs
  • Industry Position: 97.8% below the Vehicles & Parts median (#1025 of 1066)

No single metric tells the full story. See the KAR:GTYR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ghandhara Tyre and Rubber Co Business Description

Address H-23/2, Landhi Industrial Trading Estate, Landhi, Karachi, SD, PAK
Ghandhara Tyre and Rubber Co Ltd is engaged in the manufacturing and trading of tyres and tubes for automobiles and motorcycles. Its products include passenger car tyres, light truck tyres, tractor tyres, bus tyres, motorcycle tyres and rickshaw tyres.
61GF Score

Get the complete analysis for KAR:GTYR

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₨31.49
Price
₨33.27
GF Value